Dear: Member I thank you very much for the kind words about the way you were treated by my staff on all the visits to your home. As you say they were responsive both on the phone and in person. Repairs that were needed and explained to you were performed and as you stated were done correctly and you acknowledged that on their work order. For over 60 years we have been serving the greater Boston community and with satisfied customers. We have grown to a full service company today with a professional staff of over 30 men and women who look at what they do as a career and not just a job. Finding people like that is not easy and once you do that begins the training, training and constant training. You would not believe what it takes to hold on to and maintain a staff that within this industry rotates about every 3 to 4 years. Our average staff member has been here for 15 years, of which I am very proud of. Owning a business and giving your team good living wages is challenging but necessary for the dedicated work they provide to our customers. In addition supplying a great benefits package for their family and themselves is a priority of mine. Now to your concerns as to pricing: I am responding to your concern about our pricing policy. Yes, we do charge more than many other companies in the area, though not as much as others. I make no apologies for our pricing. I learned a long time ago that it is far better to offer a more expensive quality service and explain our prices every once in a while than to skimp and have to live with a reputation for poor quality forever. Why do we charge more? That is a fair question. Let me endeavor to answer it for you. First, our prices are not set by happenstance. They aren’t set to the level we think the market will bear. Neither are they set to the level our competitors charge. Our prices are set so that we can keep one dime out of every dollar after taxes. I think that’s fair. The fact is that our prices are based on our costs. Out of every dollar we charge, we must pay for our technician’s salary, his worker’s compensation, his social security, his medical benefits, health, dental, vision, long term disability, short term disability, life insurance, flexible health savings, legal assistance accounts, profit sharing, his uniform, ongoing training, the time it takes him to drive to your house, tools, the truck, the finance charges on the inventory he carries, the gas in the truck, the insurance for the truck, our business insurance, our state license, our telephone line charges, our telephone system, someone to answer the phones and dispatch the technician (keeping track of the progress of every job to keep you informed when you can expect the technician) and their overhead, our computers, our software, someone to enter information into the computers and their overhead, accounting, billing, tax and legal services, an after hours answering service, yellow pages advertising, online internet advertising other advertising, membership in professional and trade organizations, reserves to ensure we can honor all of our warranties and guarantees, people to fill out dozens of forms and reports for various government regulators, taxes, and on and on. It costs a lot of money to run an organization that is prepared to respond immediately (or at least, to respond the same day) to people like yourself who call us in a crisis because they have a leak or do not have hot water. You don’t want to wait three days, until we can get around to it. That means we need extra resources standing by. Unfortunately, faster service is more expensive. Yes, there are some in our community that charge less. There are some that hire less qualified personnel, who make lots of mistakes and must go back and correct them. There are some that do not train their workforce to keep them up to speed with current codes and practices. There are some that drive beat up old trucks, which will leak oil, all over your driveway or in front of your home. There are some that do not conduct background checks on their employees or perform drug tests to ensure that you won’t have to worry about a service technician returning at night to rob you or support a drug habit (please do not scoff, this is a very real problem in our industry). There are some that do not carry the proper level of insurance to protect you in event of a catastrophe. There are some that cut lots of corners. I can understand how you might be upset. If you walked into a nice steak house for dinner, you might also be upset to learn that you could have gotten a dinner at a buffet style restaurant for less. Different businesses charge different prices for what appears to be similar products and services every day. Yet, rarely are the products and services truly the same. There are always differences. When you called us, you may not have wanted the quality of service and the level of protection we offer. You did want our speed of response, however, the problem is the quality of service, level of protection and speed of response all come together as a package. We can’t break them apart or isolate one aspect of our service from another. I think it is fair to say that you understood what the cost was when you agreed to the service, just like you understand what the cost of a dinner is when you order from the menu at a restaurant. When you order a dinner and eat the meal, I doubt you try to walk out on the check even though you might think it’s pricey. I would hope you give us the same consideration. I’m not here to make excuses. I merely wanted to offer an explanation. I hope you now have a better understanding of where our prices come from. . Sincerely, Michael Pann President Pann Home Services P.S. If you ever have a financial hardship and require our services, we will gladly work out a payment arrangement to accommodate your budget. This we have done for many of or customers over the 60 years of serving the community. Just call me to discuss it